Lakeland Financial has record high net income

Posted: Friday, February 5, 2016

Lakeland Financial Corporation (Nasdaq Global Select/LKFN), parent company of Lake City Bank, today reported record high net income of $46.4 million for 2015, versus $43.8 million for 2014, an increase of 6%. Diluted net income per common share increased 5% to $2.75 for 2015, versus $2.61 for 2014. This per share performance also represents a record level for the company and its shareholders.

The company further reported record quarterly net income of $12.3 million for the fourth quarter of 2015, an increase of 11%, versus $11.1 million for the fourth quarter of 2014. Diluted net income per common share was $0.73 for the fourth quarter of 2015, also an increase of 11%, versus $0.66 for the comparable period of 2014. On a quarter-linked basis net income increased by 6% or $721,000 from $11.6 million for the third quarter ended September 30, 2015.

David M. Findlay, President and CEO, commented, "Our record performance in 2015 is the result of long-term, consistent, organic loan and deposit growth. We are particularly pleased to have crossed the $3 billion threshold in total loans in 2015. Our successful execution reflects the dedication and focus of the Lake City Bank team. We continue to focus on growing client relationships one at a time, with an emphasis on our Indiana communities.”

As previously announced, the board of directors approved a cash dividend for the fourth quarter of $0.245 per share, payable on February 5, 2016, to shareholders of record as of January 25, 2016.

The quarterly dividend, which is equal to the dividends paid in the third and second quarters 2015, represents a 17% increase over the $0.21 quarterly dividends paid in the last three quarters of 2014 and in the first quarter of 2015.

Return on average total equity for 2015 was 12.26% compared to 12.77% in 2014. Return on average assets for 2015 was 1.29% compared to 1.32% in 2014. The company’s tangible common equity to tangible assets ratio was 10.36% at December 31, 2015, compared to 10.41% at December 31, 2014 and 10.47% at September 30, 2015.

The company experienced strong loan growth during the year as average total loans increased $234.9 million, or 9%, to $2.89 billion from $2.65 billion in 2014. Total loans outstanding grew $318.6 million, or 12%, from $2.76 billion as of December 31, 2014 to $3.08 billion as of December 31, 2015.

On a linked quarter basis, total loans grew $108.6 million, or 4%, from $2.97 billion as of September 30, 2015. Average total loans for the fourth quarter of 2015 were $3.01 billion, an increase of $277.4 million, or 10% versus $2.73 billion for the comparable period in 2014. On a linked quarter basis, average total loans increased $85.5 million, or 3%, from $2.92 billion for the third quarter of 2015 to $3.01 billion for the fourth quarter of 2015.